Jabil (JBL): Evaluating Valuation Following Upward Earnings Estimate Revisions and Rising Growth Expectations
Jabil (JBL) is capturing investor attention after analysts revised earnings estimates upward. This reflects a generally optimistic outlook for the company. Expectations for meaningful growth in both earnings and revenue are fueling this sentiment.
See our latest analysis for Jabil.
Jabil’s stock continues to ride a wave of strong momentum, with its latest share price at $207.23 and a 1-day share price return of 1.59% that stands out against the major indices. The year-to-date share price return of 45.09% points to renewed optimism fueled by robust earnings expectations, while its total shareholder return of 55.69% over the past year signals both short- and long-term strength.
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Yet with shares already trading more than 18% below analyst price targets, some investors are asking whether Jabil is still undervalued or if the market has already priced in all the company’s anticipated growth and future success.
Most Popular Narrative: 16.2% Undervalued
Compared to Jabil’s last close at $207.23, the prevailing narrative places the company’s fair value much higher. As Jabil continues with buybacks and major AI investments, forecasters are clearly banking on a lucrative payoff.
Strong demand in AI-related markets, with expected revenue growth of 40% year-on-year, indicates significant potential to drive future revenue and improve operating margins through an expanded share of high-growth technology sectors.
What is fueling this optimism? The narrative hinges on a bold forecast for surging profits, margin expansion, and a surprisingly aggressive acceleration in revenue. Want to see the exact assumptions that deliver this high valuation? The full breakdown is one click away.
Result: Fair Value of $247.38 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, continued weakness in renewable energy markets and the risk of shifting tariffs could quickly challenge the positive outlook on Jabil’s future growth.
Find out about the key risks to this Jabil narrative.
Build Your Own Jabil Narrative
If you'd rather draw your own conclusions or trust your own analysis over the crowd’s consensus, you can craft a personalized view in just a few minutes. Do it your way
A great starting point for your Jabil research is our analysis highlighting 2 key rewards and 4 important warning signs that could impact your investment decision.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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